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Trade policy expert calls for reduction of EU dairy compliance rules

A trade policy expert says the European Union’s new due-diligence requirements are increasing the costs for U.S. dairy farmers and processors.

“We shouldn’t be adhering to European rules,” she says. “We should be adhering to US rules.” 

Becky Rasdall Vargas with the International Dairy Foods Association says the industry is already feeling the impact of the measures.

“Just based on stoppage time in a plant, the hours involved, and the fees associated with these additional audits, we’re close to about $30 million a year,” she says. “We just can’t afford that right now.”

The U.S. and the European Union announced a trade framework in 2025 that addressed non-tariff trade barriers of several agricultural goods.

Rasdall Vargas tells Brownfield she’s optimistic trade negotiators will be able to finalize a deal that benefits both countries. 

“These fees are duplicative and are being incurred without any real oversight,” she says. “They seem quite a bit higher than necessary. That’s the kind of thing we need to get rid of.”

The EU is the eighth largest export market for U.S. dairy products.

AUDIO: Becky Rasdall Vargas, International Dairy Foods Association